In describing and evaluating area rate-making, Mr. Foy concentrates on its historical context. His discussion shows how conventional utility and railroad regulatory methods grew to fit the economic characteristics of the regulated industries. He traces the fluctuating standards of the federal "fair value" era and the modern "end-result" era, with emphasis on the Hope case, and analyzes the use of typical or representative costs in various types of group proceedings. Concluding that natural gas producers occupy a unique factual position, he warns that the FPC must continue to devise ingenious, pragmatic methodology, untrammelled by conventional regulatory concepts, if its regulation is to avoid crippling the industry and impairing the nation's future gas supplies.
Joe H. Foy,
Federal Regulation of Independent Natural Gas Producers,
21 Vanderbilt Law Review
Available at: https://scholarship.law.vanderbilt.edu/vlr/vol21/iss1/1